Bank to provide mortgage relief for new borrowers
In a tie-up with insurance company BNP Paribas Cardif, Sumitomo Mitsui Trust Bank will soon start offering a mortgage payment exemption option for borrowers who have been fired or lost their job due to corporate bankruptcy.
Mortgage relief in the works for struggling homeowners
The Financial Services Agency (FSA) and the Japanese Banker’s Association are looking at introducing special measures to provide reductions or exemptions in home loan repayments to those struggling from a loss in income as a result of the coronavirus pandemic. This will provide a much-needed safety net for borrowers.
Mortgage stress on the rise
The Japan Housing Finance Agency (JHF) is reporting a surge in inquiries from borrowers who are struggling to make home loan repayments in the current crisis. As economic conditions worsen amidst the coronavirus pandemic a growing number of companies are laying off workers or reducing hours and pay. Household finances are being stretched to the limit, putting some borrowers in a precarious situation.
Agency to call in fraudulently obtained Flat35 home loans
The Japan Housing Finance Agency has begun calling in Flat35-type loans that were fraudulently obtained by investors. These home loans are designed for owner-occupiers, not investors, offering borrowers a low, fixed-rate mortgage over the duration of the loan.
Another real estate company facing mortgage fraud allegations
The Nikkei Shimbun newspaper broke the story of yet another real estate company that is alleged to have been signing up buyers for home loans on investment properties. The news caused the company's share price to plummet by as much as a third in the week following the news report.